Gold’s rout is not yet done. Prices plunged below US$1,900 ($2,607.41) an ounce on Tuesday, extending the precious metal’s slump into a second day after the haven collapsed more than 5% in the week’s opening session.

After setting a record above US$2,000 an ounce last week, gold’s rally has come to a juddering halt as U.S. bond yields advanced, eroding the haven’s appeal. The swift drop followed modest outflows from gold-backed exchange-traded funds, and a 15-day run in overbought territory for the relative strength index.

Gold had been on a tear in 2020, and the reversal represents a challenge for the metal’s backers. The traditional haven has been favoured as the pandemic pummeled the global economy, prompting central banks and governments to deploy unprecedented stimulus. On Monday, DoubleLine Capital LP’s Jeffrey Gundlach said he expects gold to keep trading higher despite the setback.

Spot gold sank as much as 2.1% to US$1,872.61 an ounce and traded at US$1,883.29 at 10:11 a.m. in Singapore. Gold futures also tumbled on the Comex, while silver dropped sharply.

Benchmark Treasury yields have climbed more than 10 basis points so far this month, amid improving risk appetite and an imminent flood of debt issuance. The recent rebound reflects investor hope that the coronavirus will be contained amid Russia’s vaccine, according to Standard Chartered Plc.